Newsworthy

PLASTICS / INTERNATIONAL

PetStar opens PET recycling plant in Mexico

Coca-Cola Mexico has opened what the bottling company says is the world’s largest food-contact-grade PET (polyethylene terephthalate) bottle-to-bottle recycling plant. Following the investment of more than $100 million by Coca-Cola, along with a number of partners on the project, the PetStar facility in Toluca, Mexico, is now able to process up to 65,000 tons of PET bottles per year, doubling the facility’s capacity, according to the company.

Partners that have invested in the plant include Coca-Cola Mexico, Arca Continental and other Coca-Cola bottlers in Mexico and others.

Through the use of advanced technologies, the PetStar plant will allow partner bottlers Arca Continental, Bepensa, Grupo RICA, Corporacion del Fuerte, Embotelladora de Collima and Embotelladora del Nayarrecycle to recycle 70 percent of the PET bottles they sell throughout the country.

Coca-Cola Mexico President Francisco Crespo says, “Thanks to PetStar we are contributing to our global goal to incorporate recycled material in all our packages.”

Francisco Garza Egloff, director general of Arca Continental, says, “Sustainability is part of our business strategy in the long run as we seek to make a positive mark on our environment and communities and actively participate in the overall development of society.”

He adds that PetStar includes a cultural and educational component in an effort to be a “transformational agent” in Mexico.

 

METALS

Newell Recycling and Blaze Recycling merge

Newell Recycling of Georgia LLC, headquartered in East Point, Georgia, has entered into a definitive merger agreement with the scrap metal recycling firm Blaze Recycling & Metals LLC, Norcross, Georgia. Upon closing, the combined company will be called Newell Recycling Southeast.

“We are very excited about the future of these two great companies together,” says Sharon Newell Shirley, CEO of Newell Recycling of Georgia. “This combination will strengthen and improve our ability to be the best service provider to our upstream and downstream customers and will improve the efficiency of our operations.”

Shirley continues, “Once combined, the geographic breadth of our 22 facilities, significant logistics savings, efficiencies from specializing our assets and the knowledge base of our industry-leading employees will be unparalleled in the southeastern region.”

Cary Grossman, interim CEO of Blaze Recycling, says, “This is a great transaction for both companies. Becoming part of the Newell family will provide tremendous opportunities for our employees in a larger and growing enterprise.”

Newell operates 14 facilities in Georgia, including three operations equipped with mega-sized automobile shredders.

Blaze Recycling operates eight scrap yards in Georgia and Alabama. The company has two automobile shredders, one in Lawrenceville, Georgia, and the other in Phenix City, Alabama.

 

PAPER / INTERNATIONAL

Lee & Man starts up new recycled board line

Lee & Man Paper Manufacturing Ltd., a Hong Kong-based paper company, has started up a new recycled board line in China’s Sichuan province. The PM20 line can produce 320,000 metric tons of recycled containerboard annually, the company says.

In its semiannual report, Lee & Man also notes that its expansion project in Vietnam is on schedule and is expected to be operational by the end of 2014. When completed, the company will be able to produce 400,000 additional metric tons of recycled paperboard products per year.

Despite its new capacity, in its interim report, Lee & Man says it expects to face competitive pricing challenges in the second half of 2014, citing the sluggish Chinese economy and general weakness in exports as primary concerns. In light of these challenges, Lee & Man says it plans to slow its pace of capacity expansion and will use funds to pay down debt instead.

However, Lee & Man says long-term prospects are promising as demand for packaging papers in China will increase and inefficient production capacity will be closed in light of limited power availability and tightened environmental regulations.
 

ELECTRONICS

ISRI takes position on electronic device activation locks

The Institute of Scrap Recycling Industries (ISRI), Washington, has announced its official position on “kill switches” on electronic devices. The organization calls for recyclers to have the ability to turn off these activation locks on legitimate technological devices, allowing them to be reused. In the current environment, original equipment manufacturers (OEMs) hold the keys needed to unlock or unkill these devices, ISRI says.

Up to 5 percent of cellphones purchased by recyclers and refurbishers cannot be repaired or re-enter the marketplace because the kill switch has been enabled. ISRI says it expects this number to grow dramatically in 2015 as almost all new cellphones likely will contain kill switches. Without access to disengage these devices, recyclers cannot return nonstolen, working devices to the domestic and global marketplace.

The organization’s policy states: “ISRI supports voluntary and legislative efforts that provide device owners, including recyclers and refurbishers, with convenient and reasonable access to procedures and technology from telecommunication carriers and electronics manufacturers necessary to turn off or disengage any activation locks, ‘kill switches,’ carrier locks or other locks for technological devices that are not stolen or lost in order to maximize the use, maintenance and reuse of such devices.”

Currently, the federal Smartphone Theft Prevention Act would require manufacturers to include remote deletion capability in cellphones sold in the U.S. market.

While ISRI says it supports efforts to protect consumers and deter theft, the bill does not provide qualified recyclers and refurbishers with reasonable access to ensure the cellphone is not stolen or to disable such software.

 

MUNICIPAL

ISRI opposes one-bin collection programs

The Institute of Scrap Recycling Industries (ISRI), Washington, has adopted a policy that supports separating recyclables from waste prior to collection as opposed to commingled or one-bin collection. Sorting before collection ensures that recyclable materials, particularly paper, are not unnecessarily contaminated and degraded, the association says.

“One-bin collection jeopardizes the quality of recyclables by mixing them with liquids, food, chemicals and other waste, thereby lowering, and in many cases altogether destroying, their value,” says Robin Wiener, president of ISRI.

The ISRI policy states: “ISRI supports the collection and sortation of recyclable materials in a manner that optimizes the value and utilization of the material as specification-grade commodities to be used as feedstock to manufacture new products.

“Since the quality of the recyclables as specification grade commodities is essential, ISRI opposes the commingling of recyclables with solid waste or mixed waste processing in a one-bin system where all solid waste and recyclables are placed together with no separation prior to recycling.”

 

MUNICIPAL

Recology CleanScapes opens new MRF

Recology CleanScapes, a subsidiary of Recology, headquartered in San Francisco, has officially opened a 75,000-square-foot material recovery facility (MRF) in South Seattle. The facility will process commercial and residential commingled recyclables.

Bulk Handling Systems (BHS), based in Eugene, Oregon, designed, manufactured and installed the system, which can process more than 90,000 tons of recyclables per year. The MRF includes a range of equipment from BHS, including screening systems and air and optical devices.

“We are very proud to introduce this state-of-the-art facility to expand recycling capacity in the Pacific Northwest,” says Dan Bridges, general manager of Recology CleanScapes. “This facility will play an important role in helping the region meet its environmental goals.”

Recology CleanScapes provides solid waste and recycling collection services for the Washington cities of Seattle, Shoreline, Des Moines, Issaquah and Carnation. Service for Burien, SeaTac and Maple Valley will begin later in 2014.

 

METALS

Upstate Shredding acquires Eastside Metals & Recycling

Upstate Shredding – Weitsman Recycling, headquartered in Owego, New York, has acquired Eastside Metals & Recycling Corp., Fort Ann, New York, in an all-cash transaction. Eastside will be renamed Ben Weitsman of Kingsbury.

The deal will bring the number of locations Upstate Shredding – Weitsman Recycing owns to 17.

“Washington County and the Northeast region of New York is an area I have been exploring and interested in for quite some time,” says Adam Weitsman, owner of Upstate Shredding – Weitsman Recycling. “While we had several scrap companies in the region that approached us for acquisition, we feel that Eastside has the best synergy and is the best location for our strategic plans for the rest of this year as well as 2015.”

Weitsman continues, “Eastside has had a very hard time competing in this tough scrap economy, and we look forward to bringing the financial strength needed to contend in this market.

“This is our third acquisition within this region of the state in the past year, and we plan on opening two more in the area. With close proximity to Saratoga Springs and our current Albany (New York) retail scrap yard and port facility, we feel this location will be a perfect fit for our current and future expansion endeavors.”

Eastside Metals & Recycling Corp. was founded in 2003 as a recycled auto parts vendor. Since then the company has expanded its operations to include providing full service scrap metal recycling.

Following the acquisition, Upstate says it plans to update Eastside’s facility, which will include landscaping, new fencing, renovation of existing facilities and new equipment.

“Since 2003, we have proudly served Fort Ann and the surrounding communities,” says Anthony Marro, owner of Eastside Metals & Recycling Corp.

“Through this acquisition, we will have the ability to pay customers higher prices for their scrap, give them longer, more convenient hours and serve them with brand new equipment,” Marro continues. “We look forward to the positive impact that the Weitsman brand and reputation will bring not only to our customers but to the entire area that will benefit from a company that is community conscious and genuinely concerned with being a good neighbor.”

 

PAPER

International Paper acquires Omaha Paper Stock

International Paper (IP), headquartered in Memphis, Tennessee, has purchased the assets of Omaha Paper Stock (OPS), a paper recycling firm that operated in Omaha, Nebraska, for more than 75 years.

The assets IP acquired include a 55,000-square-foot recycling facility on 7 acres and processing and transportation equipment.

IP, which already operates a facility in Omaha, will relocate its business to the former OPS plant.

“The combination of our assets with the assets of Omaha Paper Stock will allow us to continue to build on our strategy of providing recovered fiber to our internal mill system and provide the best service to our customers in the Omaha, Nebraska, area,” says Bill Gardner, general manager of IP’s recycling business.

IP says it recovers, processes or facilitates the sale of more than 6 million tons of recovered fiber in the U.S. each year. The company’s recycling business consists of 20 recycling plants and two customer service centers in North America.

 

MUNICIPAL

RethinkWaste wins SWANA award

RethinkWaste, San Carlos, California, has been named the winner of the Solid Waste Association of North America (SWANA) Gold Excellence Award in the Public Education category. RethinkWaste, a joint powers authority consisting of 12 public agencies in San Mateo County, California, received the award Aug. 26, 2014, at SWANA’s Wastecon annual conference in Grapevine, Texas.

RethinkWaste is being recognized for its Environmental Education Center and Tour Program at its Shoreway Environmental Center in San Carlos. When the award was announced, the program had hosted more than 14,000 visitors on 565 tours since its launch in January 2012.

“Getting national recognition for our educational program is a great honor for the staff [and] reflects the values of the 12 jurisdictions and their residents [who] have funded the establishment and operation of the facility,” says Bill Widmer, board chairman of RethinkWaste and a member of the Atherton, California, council. “Our educational program is paying measurable dividends as we have seen a 19 percent reduction of our landfill solid waste, a 25 percent improvement in recycling and nearly 30 percent increase in organics diversion. It is these results, as well as our continuing contributions to maintaining a healthy Earth, that truly matter,” he adds.

The tour itinerary includes visiting Shoreway’s transfer station; its material recovery facility (MRF); the Environmental Education Center, which includes museum-type exhibits, reuse art and a talking robot; and an outdoor education area with a 10,000-gallon rainwater harvest tank, a composting and gardening demonstration area and exhibits on water and energy conservation.

“It’s very gratifying to receive this type of recognition from your industry peers,” says Kevin McCarthy, RethinkWaste executive director. “More importantly, this award is a testament to the commitment of thousands of local school children and adults to learning how they can conserve precious natural resources every day.”

 

MUNICIPAL

Republic Services plant wins SWANA award

Republic Services' North Texas Recycling Complex, Fort Worth, Texas, has won the Solid Waste Association of North America (SWANA) Gold Award for Recycling Excellence. The association says the award recognizes a North American facility with the most outstanding environmental and economically sound solid waste management practices and a company that demonstrates innovation in recycling technologies and processes.

The Phoenix-based company was presented with the award during SWANA’s annual Wastecon show, Aug. 26-28, 2014, in Dallas.

The material recovery facility (MRF), which opened Sept. 10, 2013, serves more than 350,000 households throughout Dallas, Denton, Parker and Tarrant counties. The 90,000-square-foot LEED- (Leadership in Energy and Environmental Design-) certified facility also has a learning center to allow the community to experience an up-close view of the recycling process.

The North Texas Recycling Complex has a single-stream recycling system powered by 150 high-efficiency motors. Designed by the CP Group, headquartered in San Diego, the system has a highly automated supervisory control and data acquisition capabilities, which enable operators to continually monitor the material sorting process and automate the baling and storage of finished commodities, the company says. The system is able to process more than 500 tons of materials per day.

“This is a tremendous honor for our employees, and it is important recognition for their incredibly hard work,” says Keith Cordesman, area president of Republic Services. “This complex began operations last summer, and in one year it has become recognized as a standard for recycling excellence throughout North America.”

Cordesman continues, “We are grateful to our customers for their enthusiastic response to increased recycling options, and to our city, county and commercial partners for their strong support from the start. Together we have made this complex a source of pride for the Dallas-Fort Worth Metroplex.”

 

METALS

Umicore acquires Ohio specialty recycling firm

Umicore, a global materials technology and recycling firm based in Brussels, has acquired the business and assets of Wickliffe, Ohio-based CP Chemicals. The Ohio business will be integrated into Umicore’s Cobalt & Specialty Materials business unit.

The Ohio company refines and recycles cobalt- and nickel-containing secondary materials, such as superalloy scrap. CP Chemicals’ services ultimately transform these metals into chemicals for the catalyst and petrochemical refining industries.

CP Chemicals also recycles rhenium from superalloy turbine blades.

Umicore says the acquisition will allow it to establish new cobalt and nickel recycling capabilities in North America to supply its existing product businesses. The company also says the acquisition fits with its overall strategy to close the loop and strengthen its position in the cobalt and nickel value chain, from recycling to transformation and distribution.

Joe Patrick, president and CEO of CP Chemicals Group, says, “The transition of our business to Umicore creates an exciting opportunity for our company and employees to advance our position in the market of specialty materials recycling. Umicore’s competencies and global footprint in the cobalt and nickel specialty chemicals markets provide the ideal collaboration for the growth of our business.”

As part of Umicore’s North American business unit’s expansion strategy, the company also has announced that it has entered into a long-term agreement to recycle cobalt-containing hard metal scrap from Global Tungsten and Powders Corp. (GTP), Towanda, Pennsylvania. The cobalt intermediate is generated from GTP’s recycling center, where secondary raw materials are converted to tungsten and tungsten carbide powders, cobalt metal powders and tantalum carbide powders.

GTP is involved in the development, production and recycling of tungsten, cobalt and tantalum powder products.

Senior Vice President of Umicore Cobalt & Specialty Materials Jan Vliegen, says, “We are delighted with the different steps taken to further grow and expand our recycling and refining capabilities in the North American market. Together with the recent acquisition of Palm Commodities, this confirms our ambition to further strengthen our North American presence. It also underlines Umicore’s commitment to contribute to the recycling of scrap in the hard metals industry.”

MUNICIPAL

ReCommunity urges more careful collection

ReCommunity, a Charlotte, North Carolina-based material recovery facility (MRF) operator, says the failure of suppliers to load quality materials to meet commodity and end market requirements is becoming a bigger problem for the recycling industry.

“Unacceptable items—such as garden hoses, plastic grocery bags, diapers, needles and other medical waste, propane tanks, yard and food waste—expose industry employees to unsafe working conditions, lower productivity, increased disposal costs and reduce end-market material quality,” says Jeff Fielkow, ReCommunity chief sales and marketing officer. “Just a half percent of contamination in a 20-ton load decreases the value of the entire load.”

Fielkow says single-stream collection and processing are effective and efficient means of recycling but the industry must continuously improve education and outreach efforts targeting recycling behavior.

“Without the industry ramping up its efforts to improve load quality and reduce safety issues, the economics will force everyone to assess fees or reduce revenue share with our partners for handling contaminated loads,” Fielkow says. “Together, the industry, with all of our partners, can improve the quality of the recycling stream and optimize the value for the entire recycling supply chain.”

ReCommunity has issued an inbound quality alert designed to educate its hauler and community partners on the need for quality in the recycling stream.

“We are committed to actively engaging and educating our community partners,” Fielkow says.

Sean Duffy, ReCommunity COO, says nonconforming materials create employee safety concerns, increase the cost of operations and decrease the value of recyclables.

“The more engagement a city has with its program users, the more everyone understands not just what we recycle but [also] why and how we ask them to recycle,” he adds. “This improves overall recycling program performance.”

 

METALS

ISA reports revenue, volume increases for second quarter

The scrap metal recycling firm Industrial Services of America Inc. (ISA), Louisville, Kentucky, has reported an increase in its revenue and its volume for the second quarter ending June 30, 2014, compared with the same period in 2013.

In comments made following the release of its quarterly numbers, Sean Garber, president of ISA, said, “We are extremely pleased to have been able to increase both revenue and unit volume in our core ferrous and nonferrous business units, in spite of the challenging scrap market.

“Since the beginning of 2014, we have expanded our customer base from whom we purchase scrap and increased the number of consumers to whom we sell scrap,” he said. “Not only has this reduced risk in our business, it [also] has helped us generate higher metal margins.”

As part of its strategy to strengthen its operations, ISA also removed its stainless steel recycling division.

Highlights for the quarter include:

• ferrous revenue increased 25 percent, on 23 percent higher unit volume;
• nonferrous revenue increased 10 percent on 12 percent higher unit volume;
• gross profit improved 113 percent to $1.5 million;
• gross margin advanced from 1.8 percent to 5.3 percent;
• EBITDA (earnings before interest, taxes, depreciation and amortization) improved to $415,000 versus a loss of $336,000 for the same time in 2013;
• total revenue declined 29 percent, from $40 million to $29 million, marking the completion of ISA’s exit from stainless steel recycling;
• $3 million in equity was raised from Recycling Capital Partners LLC; and
• refinancing of ISA’s credit facility with a $17.8 million loan from Wells Fargo Bank, National Association.
   

Garber said, “It is truly energizing to see the results that our team has produced in such a short period of time. Everyone at ISA remains committed to finding better, more profitable ways of conducting our business. As a result of the team’s intense focus on our business processes, we continue to find new ways to reduce costs and operate more efficiently.”

ISA buys, processes and markets ferrous and nonferrous metals and other recyclables and offers waste management programs and equipment to commercial customers.

 

ELECTRONICS

Staples, ERI partner on electronics recycling program

Staples Advantage, the business-to-business division of the office supply superstore Staples, along with the electronics recycling firm Electronic Recyclers International Inc. (ERI), Fresno, California, has launched a technology recycling service for businesses.

The two companies say the program will allow businesses to recycle large volumes of electronics conveniently, responsibly and in a secure manner.

“This program demonstrates how Staples continues to lead the industry in recycling efforts,” says Al Zoldos, vice president of sales for Staples Technology Solutions. “In 2007, we were the first retailer to offer recycling at our retail stores. Now, we’re the first to provide a way for our corporate customers to easily and responsibly recycle old electronics. From provisioning new equipment, then providing services to manage it and now an easy way to handle end-of-life recycling, we’re offering a true life-cycle approach to technology management,” he adds.

Through the recycling program, businesses can recycle their equipment by:

• ordering recycling boxes online at www.StaplesAdvantage.com;
• filling the boxes with obsolete electronics and ship them back to Staples using a provided return label; and
• receiving a Certificate of Recycling from Staples that the electronics have been properly recycled and their data safely removed.

“Staples Advantage is filling a void desperately needed in our industry—a way for companies to easily and securely recycle the mass amounts of e-waste being created annually,” says John Shegerian, chairman and CEO of ERI.

Staples Advantage says it also will integrate the service into its Managed Print Services contracts, providing a way for companies to recycle devices no longer needed after a consolidation effort.

Customized solutions also are available.

 

MUNICIPAL / INTERNATIONAL

MMBC recycling program expands in British Columbia

Vancouver-based Multi-Material BC (MMBC), an industry-funded take-back program for packaging and printed paper, has announced that five more communities in British Columbia will start receiving recycling services.

MMBC rolled out curbside collection services in the city of Coquitlam July 2, 2014, and residents in the village of Anmore will start receiving service Aug. 1, 2014. Services also will start in Quesnel, Prince George and University Endowment Lands in September, MMBC reports. About 25,000 of the more than 55,000 additional households receiving recycling services from MMBC will have curbside recycling for the first time.

Residents of the five new communities will join the more than 1.25 million residents of British Columbia whose curbside service started May 19, 2014.

“Quesnel welcomes the MMBC program as it will provide a number of benefits for our residents,” says the city’s Mayor Mary Sjostrom. “Not only has the program removed the financial burden of running recycling services from our residents, but the expanded range of what can be recycled is making a significant contribution to keeping our community green and extending the life of our landfill.”

Allen Langdon, managing director of MMBC, says, “Since our program launched, we have been making it easier for residents to recycle more, whether by accepting materials like aerosol containers, paper beverage cups or plastic plant pots that previously were not recycled in curbside programs or by providing recycling services in communities that previously did not have access to them.”

In addition to the new single-family curbside and multifamily building recycling programs, MMBC’s network of more than 160 depots also continues to expand. On July 15, 2014, the Armstrong, British Columbia, Bottle Depot and the Venture Bottle Depot in Lumby began accepting MMBC materials.

“We would like to acknowledge MMBC for recognizing the concerns of our residents, which included losing the ability to drop off glass locally,” says Chris Pieper, mayor of Armstrong. “MMBC worked with our local depot to adjust the service to our community. The program is helping our residents recycle more and reduce what gets sent to landfill, as well as ensuring good recycling services are available locally to our residents.”

 

EMPLOYMENT TRENDS

Waste and recycling employment reaches all-time high

Employment within the waste management and remediation services industry has reached a record high, according to the National Waste & Recycling Association (NW&RA), citing statistics from the Bureau of Labor Statistics (BLS).

BLS announced employment of 382,500 workers in the waste industry for July 2014, an increase of 1,200 employees (0.3 percent) from June’s numbers. “The BLS data reflect a general improvement in current economic conditions as well as seasonal factors impacting the industry,” says Sharon H. Kneiss, president and CEO of the Washington-based NW&RA.

The NW&RA says the waste management and remediation services category includes solid waste collection, hazardous waste collection, waste treatment and disposal, solid waste landfill, solid waste combustors and incinerators, other nonhazardous waste treatment and disposal, remediation services, material recovery facilities and all other waste management services.

The U.S. unemployment rate is just above 6 percent; the waste industry’s unemployment rate was 3.2 percent in July, which the NW&RA says is near a seven-year low.

 

METALS

Brembo to build cast iron foundry in Michigan

Brembo SpA, which manufactures disc brakes for the automotive industry, has announced plans to invest $100 million to build a cast iron foundry near its Homer, Michigan, plant. Brembo says the foundry is part of its vertical integration strategy in the U.S.

Brembo, headquartered in Stezzano, Italy, has operations throughout the world, including three plants in the United States.

Construction on the new foundry is expected to begin in 2015 and to be completed in 2017. The facility will have the capacity to produce 80,000 tons of brake disc castings, Brembo says.

“Following the opening of our Plymouth headquarters and R&D center in 2010 and two months away from the completion of the recent Homer, Michigan, plant expansion, we are glad to announce this significant investment approved today, which will reinforce the link between Brembo and the United States, one of the most important automotive markets in the world,” says Alberto Bombassei, Brembo SpA chairman.

Brembo says the new foundry reinforces its commitment to the North American market, which has grown substantially in the past five years and is expected to become Brembo’s largest geographic market by the end of 2014.

 

PLASTICS

Boretech Group to open PET recycling plant in California

Boretech Group, a PET (polyethylene terephthalate) recycling company headquartered in Taiwan that operates two processing facilities in China, says it is close to commissioning its first PET recycling facility in the U.S. The company, founded in 1991, says it expects to open the plant in Stockton, California, by the end of September 2014.

In addition to operating recycling facilities, the company manufactures equipment for the plastics recycling sector.

Boretch’s facilities in China take in PET bottles, wash and grind the containers, eventually turning the plastic scrap into PET flakes. The flakes can be used to make polyester fiber, according to Paul Ou, a spokesman for the company.

The plant will be able to process 4.5 metric tons of PET plastics per hour, according to the company.

Construction is nearly completed, and Ou says Boretech expects to receive its official permit from the city by early September, with operations beginning shortly thereafter.

Boretech will consume PET containers from collection facilities throughout California, processing them into flakes that will be marketed to consumers for use in a range of polyester products.

 

METALS

Hitachi Metals to acquire Waupaca Foundry

The private equity firm KPS Capital Partners LP (KPS), headquartered in New York City, has signed a definitive agreement through an affiliate to sell its portfolio company Waupaca Foundry Inc. to Hitachi Metals Ltd., headquartered in Purchase, New York, for $1.3 billion in cash.

KPS says Waupaca Foundry Inc., headquartered in Waupaca, Wisconsin, is the largest iron foundry company in the world. The company produces gray and ductile iron castings and operates six foundries in the United States, including three in Waupaca and others in Marinette, Wisconsin; Tell City, Indiana; and Etowah, Tennessee.

KPS, which purchased Waupaca Foundry Inc. in 2012, says the company supplies iron castings to the automotive, commercial vehicle, agriculture, construction and industrial markets. Waupaca Foundry Inc. has a total melting capacity of more than 9,500 tons per day across its plants.

David Shapiro, a KPS managing partner, says, “The success of our investment in Waupaca demonstrates KPS’ ability to see value where others do not, to buy right and to make businesses better. In 2012, we recognized the transformation of the North American iron foundry market and the unrivaled importance of Waupaca to its customers and the end markets that it serves. The sale of Waupaca to Hitachi Metals, a leading multinational corporation, is a great outcome for our investors, Waupaca, its management, employees and customers.”

Gary Gigante, Waupaca Foundry Inc. CEO, says, “Working in partnership with KPS, we invested significantly in our operations and people, which included an expansion of our production capacity and launching numerous continuous improvement initiatives across all six of our foundries. We are very grateful to KPS for its leadership and its commitment to improving and growing our business. We are thrilled to join Hitachi Metals, which has the resources, foundry experience, access to capital and global reach that will enable Waupaca to achieve an even higher level of success.”

KPS says the transaction is expected to be completed by the start of the fourth quarter of 2014.